Rich are biggest mortgage defaulters

Ever since we've been hurled into this massive recession-depression (pick one or use both), I've heard repeatedly from my conservative Republican friends that the federal government's mortgage lenders enabled the working poor to take on too much mortgage debt for the sake of homeownership, thereby leading to huge defaults by the poor and middle class.

However, this New York Times story paints a different picture. Namely, that the rich have stopped paying their mortgages at a rate that greatly exceeds the rest of the population. Interesting.

"No need for tears, but the well-off are losing their master suites and saying goodbye to their wine cellars.

The housing bust that began among the working class in remote subdivisions and quickly progressed to the suburban middle class is striking the upper class in privileged enclaves like this one in Silicon Valley.

Whether it is their residence, a second home or a house bought as an investment, the rich have stopped paying the mortgage at a rate that greatly exceeds the rest of the population."


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